Editorial Note
The question of British, French, and other contributions to the budget of the Palestine Refugee Agency (see telegrams 52, January 5, to London and 103, January 10, to Paris, pages 669 and 679) continued to present anxiety to the Department of State. Ambassador Blandford reported from Geneva on April 18 that the British had proposed a $7,000,000 contribution, of which $2,800,000 was to be earmarked as a loan to Jordan; and that the French were contemplating a total contribution of about $3,000,000, to be furnished in two installments. He stated that he had strongly emphasized to his British and French colleagues on the Advisory Commission that the original estimates, which amounted to $12,000,000 and $6,000,000 for British and French contributions; the problem of hearings on appropriations in the Congress; the weakness of the PRA negotiating position with Near Eastern countries; the danger and ultimate additional cost of delaying the works program; and other factors. (Telegram 537, identified also as Rapun 1, from Geneva, 357.AC/4–1850)
[Page 861]Ambassador Blandford reported further on May 25 that the British contribution had been increased to $9,000,000 and that the French contribution would amount to 500,000,000 francs in June and another 500,000,000 at the end of the year “if PRA shows progress, has projects in Syria and Lebanon and improves percentage employment French nationals.” (Telegram 231, identified also as Rapun 12, from Beirut, 320.2AA/5–2550) The Embassy in Paris, on May 31, noted that this amount totalled approximately $2,800,000 and was “disappointing” compared with the State Department estimate of $6,000,000. (Telegram 2594, from Paris, 320.2AA/5–3150) The Department of State, in a telegram of May 31 to Paris, which was sent prior to the receipt of No. 2594, observed that the French contribution of 1,000,000,000 francs was only approximately one-third of the British contribution and that unless it were raised about one-half of the British figure, fulfillment of the PRA program was unlikely. The Department instructed the Embassy to approach the French Foreign Office with these considerations and point out that the French prerequisites in the face of an unsatisfactory contribution would hamper the freedom of action of the PRA and imply “spheres of influence” so repugnant to the Arabs. (Telegram 2490, to Paris, 320.2AA/5–2550)
On June 2, the Department informed Ambassador Blandford that the British and American Embassies in Paris were making parallel approaches to the French Foreign Office, requesting that the French contribution be increased to at least one-half of the British contribution. (Telegram 246, identified also as Unrap 15, to Beirut 320.2AA/5–2550)
The Department, on May 10, informed Ambassador Blandford that “To avoid dissipation US contribution on relief early months program, considered desirable stretch US funds over 18 months period. … This course will it is hoped expedite firm forward commitments other contributors.” (Telegram 201, identified also as Unrap 4, 320.2AA/5–1050)